JPMorgan backs AI hedge fund Numerai with $500M as NMR rallies 33%

TLDR

Table of Contents

JPMorgan invested $500M into Numerai doubling its AUM to $1 billion.
NMR token surged 33% after the $500M funding news from JPMorgan.
Numerai reported a 25.45% net return in 2024 with a 2.75 Sharpe ratio.
Over 517 data scientists have staked 784,044 NMR across 4,238 models.

JPMorgan Chase has made a $500 million investment into AI-focused hedge fund Numerai, doubling the firm’s assets under management. Following the news, Numerai’s native token, NMR, surged by over 33%, outperforming most altcoins during a broader market decline. This strategic move by JPMorgan marks one of its largest allocations into a machine learning-driven fund, as Numerai prepares for global expansion.

Numerai Receives $500 Million to Scale Operations

San Francisco-based hedge fund Numerai confirmed it has secured $500 million from JPMorgan. The funding allows Numerai to double its assets under management from $500 million to $1 billion. Founded in 2015, the firm uses data science models submitted by a global network of contributors to drive its trading strategies.

The company said it will use the investment to grow its team and improve its technology. In recent weeks, Numerai has hired an AI researcher from Meta and a trading engineer from Voleon. CEO Richard Craib stated in a Bloomberg interview, “When you’re doing something unusual and different, they might wait even longer before they get excited.”

JPMorgan’s move positions the bank among the largest backers of machine learning hedge funds. The bank has also been increasing its involvement with AI tools and companies across different sectors, including its prior engagements with OpenAI’s ChatGPT.

NMR Token Rallies After Investment Announcement

Following the funding news, Numerai’s native token NMR surged over 33% to $11.71, reaching a three-month high. This rally came even as the broader cryptocurrency market saw a correction. NMR currently has a fully diluted valuation of around $125 million.

Numerai previously announced a $1 million buyback of NMR tokens through Coinbase in July 2025. This move followed a halving of the total supply, now capped at 11 million tokens. As of now, Numerai’s treasury holds about 3 million NMR.

The NMR network continues to expand, with over 517 data scientists contributing 4,238 signal models. These models are used to inform the fund’s investment strategies. A total of 784,044 NMR tokens have been staked by community participants.

Strong Fund Performance and Future Growth Plans

Numerai has reported strong results in recent periods. In 2024, the hedge fund delivered a 25.45% net return and a Sharpe ratio of 2.75. The firm has had only one losing month since inception, according to its statements.

With JPMorgan’s investment, Numerai is expected to continue growing and hiring more staff. The company has stated its goal is to build a hedge fund model for a new era of quantitative trading. Its approach relies on combining crowd-sourced data models with machine learning strategies.

JPMorgan CEO Jamie Dimon has also spoken publicly about expanding the bank’s use of AI technologies across its business. The firm’s growing engagement with AI-based investment platforms fits into this broader strategy.

By expanding its capital base and technology resources, Numerai aims to position itself as a leading global AI-driven hedge fund. JPMorgan’s funding is seen as a key part of that growth path as Numerai builds on its existing performance record and token ecosystem.

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